Review of Single Source Defence Contracts Over Past Year

Each year we publish a statistics bulletin that provides facts and figures about single source defence procurement which occurs when national security requires it or where there is only one company able to produce and supply certain equipment or services to the MOD.

Companies who have a contract or subcontract ('Qualifying defence contract' [QDC] or 'Qualifying sub-contract'[QSC]) subject to the single source regulatory framework are required to submit information (reports) into a system (the Defence Contract Analysis and Reporting System [DefCARS]). We used this information to produce our Annual qualifying defence contract statistics: 2023/24. We also provide updates to the statistics on a quarterly basis.

The 2023/24 statistics show that the total estimated price of all the contracts entered into since 1 April 2015 was £102 billion. This is based on 615 contracts (active and completed).

The average estimated contract profit rate across all those contracts is 9.47 per cent.

The statistics give a unique overview of this procurement activity, which includes analysis of:

  • Estimated profit rates of contracts.
  • Contract prices.
  • Contract duration.
  • The types of pricing methods used in these contracts.
  • Small and Medium Enterprise involvement.
  • The estimated and actual/forecast price in completed contracts.

For the first time in these series of bulletins we have included a section on 'trends and changes' (see page 3).

We are committed to engaging with stakeholders to improve these statistical releases. If you would like to

/Public Release. This material from the originating organization/author(s) might be of the point-in-time nature, and edited for clarity, style and length. Mirage.News does not take institutional positions or sides, and all views, positions, and conclusions expressed herein are solely those of the author(s).View in full here.